---
# System prepended metadata

title: 'NOTES: Webinar: Product Pricing Principles by fmr Disney Product Manager '
tags: [' Note', ' Product School', PM]

---

---
title: "NOTES: Webinar: Product Pricing Principles by fmr Disney Product Manager
"
image: https://i.ytimg.com/vi/SSbxRx4RAhI/hqdefault.jpg
tags: PM, Note, Product School
GA: UA-165294171-1
---


# [Webinar: Product Pricing Principles by fmr Disney Product Manager][1]
<div style="text-align:right;">Speaker: Sreetham Das</div>

[//]: # (LINKS)
[1]: https://www.youtube.com/watch?v=SSbxRx4RAhI "Watch on YouTube"


## How to create a price structure [[00:54]][2]
- Price differently for different customers to maximize value.
- Price based on user needs, not features.
:::info
**One Time Purchases V.S. Subscription**
- In-app subscriptions contribute to 96% of spend in non-gaming apps (App Annie 2020 Report)
- Subscriptions allow a reliable source of renewable revenue and a longer term relationship with customers
- Offer two types of subscription to shift focus from "Do I want a subscription?" to "Which subscription do I want to buy?"
:::

[//]: # (LINKS)
[2]: https://www.youtube.com/watch?v=SSbxRx4RAhI&t=54s "Watch on YouTube"


## Understand How People Buy [[08:19]][3]
### The Power of Free [[08:32]][4]
- Free trials allow users to enjoy the benefits of a subscription with little risk
- Allow users the ability to try a paid feature to hook them
:::info
**Fun Fact**
==People are most likely to pay within your app immediately after downloading.==
:::

### Social Proof & Urgency [[11:36]][5]
- Share customer testimonials or number of purchases to help validate the quality of your product
- Share remaining inventory to drive action
- Offer limited time deals (such as at sign up)

### Fairness [[13:41]][6]
- People want to feel like they're getting a good deal
    >e.g. Uber surge pricing shows how much you are overpaying.
- However, be careful of users just searching for a good deal

:::danger
==**The only way to know for sure - TEST IT!**==
:::

[//]: # (LINKS)
[3]: https://www.youtube.com/watch?v=SSbxRx4RAhI&t=8m19s "Watch on YouTube"
[4]: https://www.youtube.com/watch?v=SSbxRx4RAhI&t=8m32s "Watch on YouTube"
[5]: https://www.youtube.com/watch?v=SSbxRx4RAhI&t=11m36s "Watch on YouTube"
[6]: https://www.youtube.com/watch?v=SSbxRx4RAhI&t=13m41s "Watch on YouTube"